Key Benefits:
law no 76
LAW OF JANUARY 5, 1961
VICTOR PAZ ESTENSSORO
CONSTITUTIONAL PRESIDENT OF THE REPUBLIC
For the Honorable National Congress has sanctioned the following Law:
THE NATIONAL CONGRESS,
D E C R E T A:
Article 1. On any loan or money muth contract, between individuals, the conventional interest may not exceed four percent monthly.
Article 2. For the purposes of this law, it is considered interest, other than clearly agreed as such, any form of percentage, surcharge on original capital, revenue, loan or deposit commission, and in general any utility and benefit which a debtor provides for paying his creditor, for the sum that is provided to him.
Article 3. It is prohibited to charge higher interest than that authorized by this law, as well as its capitalization and any form of anathocism and to demand your payment in advance. The stipulation of interests and conditions to the contrary are null and void.
Article 4. Any public or private contract of loan or money order must be entered in the Internal Revenue Office within 30 days. the document, to the effect that it accrues interest and obliques the taxes that the law establishes to the income on movable capital.
The lack of registration and payment of taxes will be denounced for public cause and punishable as crimes of tax fraud.
In provincial and cantonal capitals where no such office exists registration, this diligence will be practiced before the political-administrative authorities of the place, who will give to the Departmental Office of Internal Revenue within each economic management, for the purposes of this law.
Article 5. It constitutes usury any interest higher than that set forth in this law and any form of anathocism.
Article 6. Incoada the execution by virtue of the debt instrument, if it contains revenue greater than that established by this the law, the judge of the amount will reduce the agreement between parties the legal interest, without prejudice to the intervention of the Public Ministry, for the corresponding criminal action.
Article 7. It is presumed that the deposit of money between individuals and all mutual money not onerous, covers usury if the depositor or The lender is engaged in holding interest-bearing loans.
II.-CRIMINAL LAW
Article 8. The one that will be dedicated to performing loans or business, any that is the form that will affect the penalty of fine equivalent to triple the amount of the usurious interest.
It is considered as usury, not only to obtain a higher interest than that laid down in this law, but to obtain from the obligation a benefit, transfer, guarantee or something similar which implies an advantage or profit which is notoriously disproportionate to the fact or the creditor.
Article 9. The one that is intermediate, front-end, favored, or Loan provocateur or usurious business, will incur the penalties imposed in the previous article.
Article 10. The one who neglects or retains, without competent authority, in whole or in part, salary or salary or any any other payment or payment you should make, credit or business, which is usurious, shall be made liable to the criminal penalty of usury provided for in Article 8, without prejudice to the obligation to return the sums unduly withheld.
III. GENERAL PROVISIONS
Article 11. Any antedtied check that is proven supports an usurped loan, will not be understood in the effects of the law of December 23, 1949.
There will be presumption of usury, its direct benefit or by itself will be dedicated to the activities of interest loans, in the cases of this article, giving immediate notice to the Superintendence of Banks or Authority political-administrative where there was not, to the affections of the liquidation and the co-active collection of the tax defrauded and consequent interest and legal fees.
Article 12. The so-called antededent checks that have been made use fraud to circumvent tax taxes and make extortion against debtors with a threat to fraud trial, will constitute proof of co-delinquency of the beneficiaries, if they do not regularise their situation of creditors according to the 4th article of this law.
Article 13. In the cases checked of any kind of usury, order the reduction or settlement of interest according to the requirements of this law.
Loan contracts whose interest is outstanding, in any form of law, shall be settled according to the article first.
Article 14. The provisions of the present law, credit institutions that grant loan or mutual money, with rates higher than that set out in the first article.
Article 15. All laws, decrees and provisions contrary to the law are abrogated.
Commune to the Executive Branch for Constitutional Purposes.
Session of the H. National Congress.
Peace, December 23, 1960.
Fdo. Ruben Julio C., E. Ayala Mercado, Cnl. C. Cuellar, Jaime Manning, Guillermo Munoz de la Barra, Armando Mollinedo.
Therefore, it was enacted so that it has and will comply as the Law of the Republic.
Government Palace in the city of La Paz, five days of the month of January of a thousand nine hundred and sixty-one years.
FDO. VICTOR PAZ ESTENSORO, A. Cuadros Sanchez.
